This article is from the Australian Property Journal archive
DESPITE rising vacancies and shrinking demand, DeGroup is developing a $70 million office building in Melbourne’s CBD.
The building, to be developed on 263 William St in the middle of the legal precinct, will be 20 storeys and 75 metres above the Metropolitan Hotel. It will be comprised of 7,013 sqm gross leasable area, 3,799 sqm of which will be office space over 17 floors.
“We are confident we have the right building for the times and are buoyed by a budget which seeks to deliver a quick economic turnaround in Australia’s most livable city,” said Colin DeLutis, founder and chairman of DeGroup, who currently owns several office buildings in Melbourne’s legal precinct.
The development will also feature 822 sqm multi-level restaurant and bar and double height roof top bar. It will also feature large amounts of common space including high quality end-of-trip facilities.
The office floors will be comprised of 233 sqm and will feature kitchenettes, shower facilities, 24-7 secure access and natural light from the panoramic views of Flagstaff Gardens and the CBD.
DeGroup expects the building to draw interest from occupiers such as legal firms, mediation facilities, barristers’ chambers and tech companies.
“With nothing new and modern having been built in the legal precinct for over 20 years, we are quite bullish about the market and very confident about the building’s leasing potential,” said DeLutis.
“Businesses, and their clients, want COVID safe, hygienic spaces, where they can control their environment, and an important part of that is about not having to share spaces with other businesses.”
“This is the new normal and will set new space apart from the competition in what will ultimately become a very competitive market as the economy emerges from the downturn and drives white collar employment growth,” concluded DeLutis.
WMK Architecture will design the development with Crema Constructions completing the building. Formal leasing will commence in early 2021, focusing on whole or multi-level tenants.
